DOE Approves Sabine Pass LNG Export Bid

Golden Pass Products LLC, co-owned by Qatar Petroleum and ExxonMobil, is now authorized to export LNG up to the equivalent of 2.21 billion cubic feet per day of natural gas to any non-FTA country not prohibited by U.S. law or policy from a terminal near Sabine Pass, Texas.

Apr 25, 2017

The U.S. Department of Energy announced April 25 that it has signed an order authorizing Golden Pass Products LLC to export domestically produced liquefied natural gas (LNG) to countries that do not have a free trade agreement with the United States. The company is authorized to export LNG up to the equivalent of 2.21 billion cubic feet per day (Bcf/d) of natural gas to any non-FTA country not prohibited by U.S. law or policy from the Golden Pass Terminal near Sabine Pass, Texas -- a location that Energy Secretary Rick Perry, former governor of Texas, should know very well.

The move is part of making the United States a net exporter of natural gas; DOE said it has authorized a total of 19.2 Bcf/d of natural gas exports to non-FTA countries from planned facilities in Texas, Louisiana, Florida, Georgia, and Maryland. "These projects, if built, would position the United States to be the dominant LNG exporter in the world," it said.

"This announcement is another example of President Trump's leadership in making the United States an energy dominant force. This is not only good for our economy and American jobs but also assists other countries with their energy security," Perry said.

According to the DOE announcement, Golden Pass estimates the construction of its facility will provide 45,000 direct and indirect jobs over five years and the cumulative impact of construction and 25 years of operation will provide up to $2.4 billion in federal tax revenues and $1.2 billion in state tax revenues.

DOE's order followed what the department described as "an extensive review of the Golden Pass application." DOE determined that exports from Golden Pass, which is jointly owned by Qatar Petroleum (70 percent) and ExxonMobil (30 percent) for a period of 20 years are not inconsistent with the public interest.

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